The Housing Market Isn’t Crashing—But It Is Changing: What Buyers, Sellers, and Renters in Hattiesburg Need to Know
If you’ve been waiting for a real estate market “crash” before making a move, you might be waiting a long time. According to industry experts Ryan Serhant and Barbara Corcoran, the market isn’t collapsing—it’s just shifting.
The reality? Buying, selling, and renting look very different today than just a few years ago. While affordability remains a challenge, opportunities still exist—especially in Hattiesburg, where our market has its own unique trends.
Let’s break down what’s happening nationally, how it compares to the Hattiesburg real estate market, and what this means if you’re looking to buy, sell, or rent.
It’s Not a Housing Crisis—It’s an Affordability Crisis
Nationally, Ryan Serhant argues that we’re not in a housing crisis, but an affordability crisis:
“I don’t think there actually is necessarily a housing crisis the way you see and you read about it. I think there’s an affordability crisis.” — Ryan Serhant
While home prices aren’t crashing, many buyers are struggling to afford a home—and Hattiesburg is no exception.
Hattiesburg’s Affordability Challenges
🏡 Limited Entry-Level Homes: The biggest issue in Hattiesburg isn’t just affordability—it’s inventory. There are very few entry-level homes available, and the ones that do hit the market often need significant work.
🚫 Financing Roadblocks: Many of these lower-priced homes don’t qualify for FHA, VA, or USDA loans—which are essential for first-time buyers trying to enter the market. This means many buyers are stuck renting while trying to save up for a more expensive home or searching for financing alternatives.
📉 Rising Rents: Meanwhile, rents are going up as landlords deal with increasing property taxes and insurance premiums. Just like in national markets, Hattiesburg renters are seeing a larger percentage of their income go toward rent, making it harder to save for homeownership.
The Bottom Line for Buyers & Renters:
✅ If you’re buying, you need a strategy. Be prepared to act fast when a well-priced home becomes available.
✅ If you’re renting, now is the time to start planning. If homeownership is a goal, working on your credit score and savings now will put you in a better position when the right opportunity arises.
Why Aren’t Home Prices Dropping in Hattiesburg?
With affordability challenges, you might assume that home prices would start dropping. That’s not happening in Hattiesburg—at least, not across the board.
🔹 Home values remain stable with a steady increase in pricing over time.
🔹 Price cuts happen—but mostly for homes that were overpriced. Aspirational pricing hasn’t worked for two years, and overpriced homes tend to sit on the market until they are reduced to 103–105% of market value—then they sell. Most sellers end up getting 98% of their final sales price.
🔹 New construction is in high demand—if it’s priced correctly, it sells quickly. The market is absorbing new homes as fast as they’re built.
Meanwhile, sellers are hesitant to list their homes because:
Many locked in ultra-low mortgage rates (around 3%) and don’t want to trade that for today’s 7%+ rates.
They worry they won’t find a suitable replacement home in their budget.
“No one wants to move and [there are] fewer houses to choose from at higher rates. So it’s difficult for homebuyers.” — Barbara Corcoran
Hattiesburg’s Selling Market Reality
📉 Fewer homes are hitting the market, but more people are talking about moving.💰 If your home is priced right, it will sell. Overpriced homes will likely sit until they are reduced into a realistic range.🏠 Buyers are getting pickier. Homes that need updates or repairs take longer to sell unless priced accordingly.
🔹 Sellers who price aggressively and present their homes well still have an advantage. However, pricing at the top of the market with the hope of “testing” demand is not a winning strategy.
The Bottom Line for Hattiesburg Buyers, Sellers & Renters
The Hattiesburg market isn’t frozen, but it has changed. Here’s what that means for you:
✅ For Buyers – The biggest challenge is finding a move-in-ready home at an affordable price. If you qualify for FHA, VA, or USDA loans, be prepared for limited inventory. If you find the right home, move quickly and negotiate strategically.
✅ For Sellers – Your home isn’t guaranteed to sell at any price. Overpricing won’t work in today’s market, but pricing at market value will attract buyers. Homes that are move-in-ready or updated tend to sell faster.
✅ For Renters – Rents are rising, and nice rentals are hard to find. If you’re planning to buy in the next 1-2 years, now is the time to work on your financial plan. With fewer affordable homes available, being financially prepared gives you an edge when the right property hits the market.
Need Help Navigating This Market? Let’s Talk.
The real estate market will always change, but that doesn’t mean you have to sit on the sidelines. Whether you’re buying, selling, or planning ahead, I can help you find the right strategy to meet your goals.
📩 Thinking about making a move? Let’s connect!
